In 89, Lao Bu was elected president of the United States, Nicosun and Gorba visited the Celestial Empire one after another, and China officially opened the country.

It was also in this year that Neon's stock market reached its peak, with the Nikkei hitting 38,957 points at one point, a figure that rose nearly 4 times from 85.

The daily trading volume of the Tokyo Stock Exchange is 8.8 trillion yen, which is 1.8 times higher than that of the New York Stock Exchange on the other side of the ocean.

The total market capitalization of more than 600 trillion yen accounts for more than 30% of the global stock market.

In other words, one-third of the wealth of the world's listed companies is concentrated in neon, and there is no doubt that this number is inflated.

The market capitalization of neon-listed companies is generally overvalued, and at least half of them are bubbles, which of course includes companies owned by Shirakawa Holdings.

The simplest example, SIC, which has just completed its listing on North Mi, has a market capitalization of only about $8 billion.

Although there is a high probability that it will rise in the future, 8 billion US dollars is only 1 trillion yen when converted into yen.

If the SIC is listed in Tokyo, this market value can at least double or triple.

SIC's reputation in neon is obviously much louder than in North China, and this is the peak of the neon bubble.

Investment institutions and shareholders will be mindless to follow a well-known company like SIC.

If you don't do well, the scene of the listing of the god stock NTT will be staged, because of the state-owned background and the vigorous development of the communications industry.

After the original Telecom and Telephone Corporation was split into NTT, it was coaxed by shareholders as soon as it was listed, and the highest price per share was 3.18 million yen.

Yes, 3.18 million yen per stock, which is definitely an unprecedented record in the history of the neon stock market.

At the beginning, the Ministry of Finance decided to put 1.86 million shares on the market, with an initial price of 30~400,000 yen.

As a result, before the official issuance, it was copied at the underwriter subscription stage, and it was copied 1.19 million yen.

After the official launch, the stock price soared by 400,000 yen on the same day.

In the two months since, NTT's stock has risen to 3.18 million yen, pushing the Nikkei as a whole up 22.4%.

Because there were too many people who applied to buy shares at the beginning of the offering, NTT limited each person to one share, and they could purchase it with their ID cards.

As a result, NTT received 10.85 million applications before going public, which is about 10% of the neon population.

The people's abacus is very simple, this kind of new stock with state-owned background, if you win, you will make a profit without losing money.

Based on the calculation of more than 1 million new shares, as long as it rises by 30% on the first day, it can earn hundreds of thousands of yen.

In those days, the annual income of a family is around 3.5 million to 4 million yen. Earn a month's worth of money a day, and of course everyone flocks in.

People think that NTT is a special benefit given by the government to shareholders, so how can it fall?

So as long as anyone buys a stock of NTT, they have to invite relatives and friends to have dinner and celebrate.

The wives who queue up in front of NTT every day to fill out the application form, if they are not selected in the end, even many people will secretly hide to the side and wipe their tears.

This is the legend of NTT's god stock, and it is also a spectacle that can only appear in the bubble era.

Although SIC is not as well-known as NTT in the hearts of the public, it has been in business for so many years and has a good reputation of Shirakawa Holdings.

It is not realistic for the SIC to skyrocket tenfold like NTT, but it is still possible to increase it by two or three times.

However, its market value in North America is only about $8 billion, which is still reflected in the optimistic attitude of Wall Street for the sake of its reputation with Intel.

It can be seen that at this time, the people of North America and the neon people have completely different attitudes towards the stock market.

This is also the reason why Subaru was able to reach a market value of 3 trillion yen despite the business crisis.

The entire Neon stock market is in a bull market, and as long as it does not reach the point of bankruptcy, the stock price will not fall.

Shirakawa Holdings spent a lot of money to become Subaru's largest shareholder, and the investment of $9 billion is indeed very high.

But there is no way, if you don't make a move at this time, Subaru will fall into the hands of giants like Toyota.

As the No. 1 existence in Neon's market capitalization, $9 billion is not difficult for it.

As for entering the market after the bubble? Have you ever seen an auto group that went bankrupt because of the bursting of the bubble?

No, the automotive industry has always been a high-quality asset. Even if Subaru is not doing well, there is no shortage of buyers.

Therefore, Shirakawa Holdings wants to enter the market, even if there is a bubble in the current market value, he has to make a move, otherwise there will be no such opportunity in the future.

All of this is closely related to the stock market, and it is also closely related to the influx of retail investors.

Of course, the reason why the neon people are keen to speculate in stocks at this time is inseparable from the various policies of the neon government.

In the past few years, with the continuous reduction of interest rates, the interest rate of banks on deposits has basically remained at about 0.26%.

The interest on this deposit is almost equal to zero. At the same time, the government also levies an indigenous tax on residents' deposits, ranging from 5% to 15%.

Originally, this was a measure enacted against tax evasion by the wealthy, but before the bubble, neon people generally had a habit of saving.

Now, with interest rates falling to extremely low levels, and in order to avoid taxes, those middle-class families have to move all their money into the stock market or property market.

This is one of the reasons why neon middle-class families are keen to speculate in stocks now, and later as the returns in the stock market are getting higher and higher, everyone will naturally continue to invest money in them.

As a result, by the end of '89, the stock market had reached a new height unprecedented in history.

Also because of the inflated stock market, many companies can obtain the funds they need to operate through listing, and bank loans become dispensable.

What should I do if I can't lend money from the bank? Of course, the target shifts to SMEs and individual users.

Property developers, in particular, are the bank's largest and most high-quality customers.

In the end, the bank's money enters the real estate industry through these channels, or into the pockets of small and medium-sized enterprises and individual users.

And what do small and medium-sized enterprises and individual users do with the money from bank loans?

The answer is obvious, stock trading! Flip the building!

Since the appreciation of the yen, exports have been unfavorable, small and medium-sized enterprises have encountered a crisis, and Neon has not had time to upgrade its industry in China.

At this time, most companies can only use some short-term practices to maintain earnings growth, and stock trading is the magic weapon to maintain performance.

As of this year, nearly half of Neon's 1,654 listed companies are engaged in investment and wealth management business.

Because everyone is keen on the stock market, the export economy at this time has long become a negative growth driver.

The performance reflected in the financial reports of enterprises is basically driven by stock market investment.

Even giants like Panasonic have invested as much as 1.1 trillion yen in financial products.

Yakult, which was famous in the later Celestial Empire, did not let it go too far, and its investment in the financial business department also started with hundreds of billions of yuan.

At this time, the figure of hundreds of billions of yen is really a set of numbers for many neon companies.

See, at this time, financial firms throughout Japan were influencing each other.

Money from banks flows heavily into real estate, and money from businesses flows into the stock market.

The prosperity of the real economy is highly tied to asset prices. Once there is a crash in asset prices, it is a ripple effect.

All this neon government is not clear? If nothing else, at least the Ministry of Finance is well aware.

Especially the newly appointed Mie Yasuno, he sees all the magical side of neon in his eyes.

Extremely averse to inflation, he watched the price of neon prices more than quadruple from 70 to 89.

As for the increase in land prices, not to mention four times, ten times it!

Can this be endured? Mie Yeyasu, who has a strong personality, doesn't even dare to give face to the chief carp, how can he care about the Ministry of Finance.

The BOJ governors who preceded him were all "horses" of the cabinet's economic policy.

But who is Yasu Mieno? He was a ruthless man who was determined to make the Bank of Japan independent of the Ministry of Finance.

This time, he wants to make the Ministry of Finance the "horse" of his economic policy, and he wants to lead the BOJ to start suppressing inflation.

So when he had just taken office, he didn't even have a full moon, and he began to formulate a series of policies to reduce inflation.

First of all, at the end of December, another rate hike was made on the yen, raising the rate from 3.75% to 4.25%.

It looks like the rate hike will be the same as before, only around 0.5%.

Note, however, that only two months have passed since the last rate hike.

In the past six months, three consecutive interest rate hikes have been raised, just like the wave of rapid and fierce interest rate cuts in 86, and the operation of the Bank of Japan is still impatient.

In addition to raising interest rates, the Ministry of Finance has also introduced a series of policies to restrict financial investment.

For example, it stipulates the requirements for controlling the total amount of financial loans, and the major commercial banks must intensify the examination and approval of financial loans.

With the introduction of this series of policies, not to mention the Beidu Bank, which has long been vigilant, even many credit institutions have felt a little unusual.

However, the dream is charming, and not everyone wants to wake up from this glitz.

These lenders, including many banks, are reluctant to link the BOJ's interest rate hike to the stock market.

Is it that they are unresponsive? Is it because they really don't see the connection? Or maybe it's not that they can't think of it, but they don't dare to think about it?

I know that running a red light is dangerous, but everyone is not afraid to run a red light hand in hand.

As a result, the current public has not paid any attention to the impact of the Bank of Japan's interest rate hike policy, and everyone is even discussing whether the Nikkei index will break 50,000 points next year.

However, it is not that no one has noticed the current neon bubble, and the economist Yukio Noguchi wrote in a financial newspaper, "The current rise in land prices is a bubble."

But in neon China, his advice fell on deaf ears, and many economists sharply criticized it.

Nomura Securities even placed advertisements in media around the world to refute the suspicion that the Tokyo stock price was too high.

Almost the entire Japanese securities industry believes that "as far as Japan is concerned, there is no gravity in the stock market." ”

Of course, it wasn't all unheard, and the current Minister of Education, Culture, Sports, Culture, Sports, and Culture, Gentaro Nakajima, was very clever and began to empty his stocks and securities.

Because of Shirakawa Kaede's thigh, he was also able to understand the inside story of the operation of many banks and securities institutions.

The conservatism of the business of Beidu Bank and its securities institutions has always puzzled him.

He also asked Shirakawa Kaede why he acted the way he did, and most of the time the latter coped with it with a "just to be on the safe side".

However, today, when I saw the warning of economists in the newspapers, I thought that other financial institutions and enterprises in China were behaving abnormally.

In particular, these financial institutions are busy dealing with large amounts of non-performing loans in addition to stocks.

Gentaro Nakajima realized that the various corporate governance that was still playing a role before has basically lost its role at this moment.

Shocked into a cold sweat, he suddenly realized that Japan was about to be in big trouble.

(End of chapter)